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42. Below, are interest rates on Treasury Securities of various maturities: Term Rate 5.5 5.6 5.7 1 year 2 years 3 years 4 years 5

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42. Below, are interest rates on Treasury Securities of various maturities: Term Rate 5.5 5.6 5.7 1 year 2 years 3 years 4 years 5 years 6 years 5.8 6.0 6.1 10 years 6.2 6.5 30 years 7.0 20 years If the pure expectations theory is correct, what does the market believe that 30 year securities will be yielding 2 years from now? Show your final answer as a percentage with 2 decimal places

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